Which metro-east areas have the hottest real estate markets? Local agent weighs in
Real estate markets across the country have boomed in recent months, and while some areas may be seeing a market correction, many southwest Illinois zip codes’ home values are still higher than at this time last year.
Buyers looking to enter the metro-east’s real estate market may see slight price relief as appreciation slows, but conditions still currently favor sellers in most southwest Illinois areas, said Angie Zahn, a licensed real estate agent and managing broker based in New Baden.
She says the metro-east’s market is as tough as it was this spring when prices soared and supply couldn’t keep up. Here’s what to know:
Where is it harder to buy a home in southwest Ill.?
The markets near Scott Air Force Base and in O’Fallon, Mascoutah, Lebanon and Edwardsville are especially hard on buyers right now as demand outstrips supply, a problem that can be exacerbated in areas where people don’t move much, Zahn said.
Many buyers are still navigating multi-offer situations. Zahn said one property she assisted clients with in O’Fallon recently had seven offers. Some smaller metro-east localities aren’t exempt from the sellers’ market either.
“Some of our smaller communities, it’s always a little bit of a tight market because they’re pretty established and people don’t move as often,” Zahn said. “And so it’s a little hard to track those.”
Highland is one of the areas where Zahn said buyers may have fewer options due to a small supply of homes for sale. This isn’t because those areas don’t have good homes, but because houses don’t stay on the market long, Zahn said. Alton and Granite City often have more housing opportunities as larger communities.
Best buying practices
Regardless of where you’re looking to buy, there are some best practices you can use to try to make your offer as competitive as possible. Here’s some of the advice Zahn shared about buying in this market:
Work with a real estate agent you trust. It’s best to work with someone who won’t rush you through the process or push you to make an offer on a home prematurely.
Be educated about the documents you’ll need, and secure a pre-approval letter from a local lender before placing your offer.
Examine your agent’s market analysis and ask your real estate agent any questions you may have.
Be ready to make an offer if the home seems like a good fit. While it’s possible you may have the opportunity to sleep on it before making a decision, the likelihood of entering into a multi-offer situation means you could lose a home if you take too long.
Additionally, it’s important when crafting a contract to consider how much you may be willing to pay for any issues found in an inspection. Zahn said she does not advise buyers to skip a home inspection, but instead to identify a dollar amount they’re willing to cover themselves as some sellers may be less willing to fix small issues.
The closing process typically takes anywhere from 30 to 45 days once an offer has been accepted, Zahn said. Buyers using cash or conventional financing are likely to see closing after 30 days, while people using grants or government programs may have a timeline closer to 45 days.
If you’re looking to sell your home, Zahn advised to make sure you know where you’ll go when your home sells before you speak with potential buyers, as you could receive multiple offers and need to move out relatively quickly.
What do median home sale prices look like in the metro-east?
In St. Clair County, the median home sale price is $214,500, according to data from Redfin from the week of Aug. 15. Monroe’s median sale price has reached $265,000, Redfin says, and Madison’s is $168,000.
Explore this Redfin data on median home sale prices in Illinois counties:
Note: This interactive graphic will automatically update as new data become available.
Correction: This article has been updated to reflect while Highland is a smaller community that may have fewer housing options, Alton and Granite City may offer more real estate opportunities as larger communities.
This story was originally published September 7, 2022 at 7:00 AM.
